JD Capital Is Creating Its Investment Platform and Implements Little Giant Paln
JD Capital takes new action to push its assets management strategy.
It’s announced in the morning of July 23rd that its subsidiary Kunwu Jiuding has set up three investment management companies to implement Little Giant Plan.
JD Capital’s Assets Management Layout Takes Shape
In April, JD Capital, the well-known and unique NEEQ listed company, became the first PE firm in China.
After that, it successfully raised 6 billion yuan through directionally issuing two stocks.
On July 3rd, it announced that its application to set up JT Fund Management Co., Ltd. has been approved by the CSRC, moving its first step to achieve its strategic layout and symbolizing the appearance of the first public offering fund management company set up by a private company.
“It’s the first step for JD Capital,” a related person said.
According to the announcement on 23rd, the above-mentioned three companies included Jiuding Junhe Investment Management Co., Ltd., Lhasa Jiuding Investment Consultancy Co., Ltd and Jiarun Jiuding Investment Management Co., Ltd. JD Capital took their shares of 65%, 65% and 70% respectively.
In future, JD Capital would conduct earlier and M&A investments in medical and energy industry via above three companies.
JD Capital Create the Concept of Little Giant
A head of JD Capital said in an interview that talent was crucial for investment management. Little Giant Plan Refers to investment management firms will be set up by JD Capital and professionals commonly to invest in specified fields and JD Capital helps the giants to expand more businesses.
As to the selection standard, it’s said that the investment team candidate, no matter internally or externally, should reach a high level in its field and has successful cases. To incite more giants, JD Capital would fund to set up management companies in some field together the giants which could hold 30%-49% of shares. After reaching higher performance, giants could increase their shares. During the whole operation, JD Capital would help them raise funds and provide resource support. It’s expected that these little giants could develop into real giants someday. Black Rock, the biggest assets management company with 3.6 trillion US dollars under management, is the best example which was separated from Blackstone after being stronger.
VC experts said JD Capital has been ready to set up its investment platform and attract talented investors based on its rich experience, abundant resources and incentive methods to speed up the expansion of business scopes.
The Little Giant Plan is mainly involved in sectors of MA, real estate investment, creditors and mezzanine investment, hospital investment, TMT investment, financial institution investment, cross-border M&A and non-performing asset management investment. It’s said that the plan is JD Capital’s long-term strategy and is involved in three management companies. By the end of 2014, more than ten little giant teams have been set up.